PESHAWAR: Though the government has cut the petroleum prices three times since Nov 2015, there is no reduction in the consumer goods.

Retailers have displayed the same old price lists.

Generally, the rates of consumer items rise immediately after the petroleum prices go up. However, the prices of goods remain unchanged in case of slash in oil prices denying its relief to the people.

In Nov 2015, diesel was selling at Rs83 per liter, which came down by 19.71 per cent to Rs71 on March 1, 2016.

However, its benefit didn’t trickle down to the common men as shopkeepers continued to charge them the old prices of kitchen items.


Old rates of kitchen items valid though petroleum prices dropped three times since last Nov


During a visit to different retail and wholesale markets in Peshawar, Dawn learned that traders didn’t display the revised price list of consumer items after decline in the prices of petroleum products over the last few months.

The retailers said the rates depended on the supply from the wholesale market, which had nothing to do with fuel prices.

Ironically, rates of various items especially sugar, pulses and ghee went up.

The shopkeepers increased sugar price from Rs2,500 to Rs3,000 per 50kg, while some wholesalers charged Rs3,010 for the sweetener.

The people said retailers charged the people the price of their choice, especially in slum areas, where the administration never bothered to check pricelists.

Several shopkeepers maintained that wholesalers had a monopoly on the market and that small-scale traders had nothing to do with the fixing of the rates of consumer goods.

“Overall, we depend on the wholesale market and fix prices after checking transport charges,” retailer Inamullah Khan of Swati Bazaar said.

Another retailer Rahat Khan showed invoices saying they’re not to blame for the people’s misery over growing prices.

He said the government should check pricelists at the wholesale market and implement its decisions to ensure decline in rates after slash in oil prices.

However, wholesalers on the busy Ashraf Road Commercial Bazaar insisted actually, transporters were responsible for the ‘exploitation of consumers.’

They also said most consumer goods were imported so their prices changed from time to time and that transportation charges had a very nominal affect on prices of such merchandise.

“Transporters charge us old rates for consignments despite reduction in oil prices both on local and international levels,” said Haji Rambail Gul, president of the Peshawar Wholesale Food Grain Dealers and General Merchants Association.

He said reduction of prices depended on the supply and demand of items or on transportation charges.

“There’s no shortage of wheat flour and therefore, the overall rates are stable. However, transporters avoid decreasing carriage charges,” he said. Rice wholesaler Naeem Khan said rates once increased were rarely decreased unless the relevant government departments tried to enforce the official pricelists.

He said truckers should decrease carriage charges at least by Rs4,000 to Rs5,000 in light of the recent decrease in diesel price.

The Punjab-Sarhad Goods Transport manager in Gujrat, Habibullah, said the transportation charges would come down but it won’t benefit consumers as because most of them depended on retailers who had no check on them by the local administration.

Manager at an Islamabad truck stand, Habibullah, said carriage charges between Islamabad industrial estate and Peshawar would decrease by Rs200 in case of the decrease in oil prices.

He demanded further slash in diesel rate to reduce transportation charges to a very low level.

Meanwhile, ANP leader Mian Iftikhar Hussain said lower oil prices won’t benefit the people unless the government cracked down their exploiters.

“The PTI rules KP but we never saw its government take action against hoarders and profiteers to benefit the people,” he said.

Hussain said the consumers had been left with the only option to agitate or move the court of law for rights.

Qaumi Watan Party spokesman Tariq Khan suggested the introduction of a ‘monitoring system’ to ensure the trickledown effect of reduction in oil prices.

PPP leader Liaquat Shabab said the government should act against profiteers and hoarders otherwise the exploitation of the people would continue.

Published in Dawn, March 5th, 2016

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